WA Balga Triplex site with solid 4 bed b/t home

[paulie]

Hi all,

I am a real estate agent in WA and I am selling the following house. In my opinion I believe this is a good investment property & area, so I thought I'd mention it here and await the interogation.

The property is located at
32 Barlow Way, Balga WA -
We are asking for offers over $219,000.
Block size of 686sqm and it is zoned R40
The home is roughly 26 years old, consists of 4 Bedrooms 1 Bathroom separate Toilet. Home also features ducted evaporative air conditioning throughout the home, monitored security system, tiled kitchen and family room, slate tiles in lounge & 4th bedroom (4th is study size ) and formal entrance, gas hot water and cooking, stand alone games room (converted large garden shed), another garden shed, lock up single car garage, extra car parking, 2 under cover paved patio's (side and rear) and heaps of grassed area.
The house has been rent appraised by agents other than myself for between $185 - $195 a week, however I do think higher rent is achieveable.

Pictures are attached

Paulie

 

[kph]

Heck Paulie,
The value is in the land being zoned R40 for triplex development.
But land area is a squeezy 686 m2, hence requiring townhouses to be constructed instead of villas'.
Any idea on the cost to do a 3 x 2 townhouse, and the end value upon completion ??

And has Balga improved that much ( would you let your mother live there)? to justify spending the cost to redevelop the site ??

KPH

 

[Nominees]

How far is the house from the bikies headquarters?

Nom

 

[paulie]

Hi Kph,

Yes, their certainly is value in the land, and I agree to maximise land value Townhouses would need to be built, I would approximate top end building costs of around $130,000 brand new two storey townhouses, ie 3 bed x 2 bath 3 wcs, good quality fittings and finishes, about 140 sqm of living space - double garage, light on landscaping and paving. End value - hmmm - conservative ballpark it in the $200,000 for easy and quick sale.

Given these figures, it is not a development buy right now I know, probably have to be closer to $180 in purchase price to allow for holding costs and profit margins etc for an immediate development. If you have a look around, there are already vacant triplex sites selling for $175 - $190K in Balga, some even on corner sites (all finished villas/townhouses have their own street frontage - very nice).

I am trying to achieve a premium price to the base land value because
A - The house is in really good condition and would be lovely home or a better than fair renter
B - As the land value underpins the property value (ie fair land value for this property as a triplex site today is probably $175 - $180K) - and it is the land value which will appreciate more over time than the replacement value of a 4 bed home, their is really strong reasons for better than average capital growth for this property over the next 5 to 10 years.


Hi Nominees,

Where are the bikees headquarters? if it is close, maybe I can sell it to the police as an observation post. haha

Paulie

 

[Ausprop]

Paulie - did you sell this place? Makes no sense as a development site and $130k to build those townhouses is very light - probably closer to $160 to $170k now. But I have no doubt someone would pick it up for its future potential.

 

[paulie]

Update

Hi all,

Sold & settled for $220,000. Thanks for all your inquiries.

Paule